Hughes Network Systems Inc.

Contact Details:

Konstantin Lanin
Director of Sales, Russia & NIS
Hughes Network Systems Europe
Ottostrasse 9
64347 Griesheim
Tel: +49 6155-8440
Fax: +49 6155-844-280

Dr. Arunas Slekys
Vice President, Corporate Marketing &
General Manager, Russia & NIS Region
Hughes Network Systems
11717 Exploration Lane
Germantown, MD 20876 USA
Tel: +1 301-428-5502
Fax: +1 301-428-5949







Company Overview
Hughes Network Systems, Inc. (HNS), a wholly owned subsidiary of Hughes Electronics Corporation (HUGHES), is the world's leading provider of broadband satellite network solutions for businesses and consumers, with more than 500,000 systems ordered or shipped to customers in 85 countries. HNS pioneered the development of high-speed satellite Internet access services, which it markets globally under the DIRECWAY® brand. In addition, HNS is a leading manufacturer of DIRECTV® satellite television receivers, having shipped more than 10 million systems through the end of 2002.
Headquartered outside Washington, D.C. in Germantown, Maryland, USA, HNS maintains sales and support offices worldwide. HNS employs over 3,000 people in engineering, operations, marketing, sales, and support. It operates manufacturing facilities in Maryland; San Diego, California; Milton Keynes, U.K.; and Tijuana, Mexico. Affiliate companies in India include Hughes Software Systems, a publicly traded software development subsidiary and Hughes Escorts Communications Ltd. (HECL), a provider of satellite communications services. HNS plants are ISO-9001 certified in the U.S.A., U.K., and India, and ISO-9002 certified in Mexico.

The earnings of HUGHES, a unit of General Motors Corporation, are used to calculate the earnings attributable to the General Motors Class H common stock (NYSE: GMH). To learn more about HNS, please visit

International Operations
HNS is continuously expanding its international presence as its customer base grows. It maintains operations facilities and/or sales offices globally, including the United Kingdom, Germany, Czech Republic, Brazil, Mexico, China, Japan, Indonesia, India, the United Arab Emirates and South Africa.

2002 Major Accomplishments
Launched DIRECWAY two-way broadband by satellite Internet services in Europe with the opening of a 3.6 million Euro facility in Griesheim, Germany.
Launched DIRECWAY two-way broadband by satellite Internet services in Puerto Rico and Central America.
Launched the DW4020 broadband satellite terminal, a self-hosted, stand-alone terminal requiring no external PC and performing many of the functions of a typical IP router.
Launched DIRECWAY-Certified Program to establish performance standards for running software applications over satellite.
To date over 35 members have joined the Hughes Broadband Alliance Program – established to encourage member companies to develop cutting-edge applications for operation over SPACEWAY™.
Signed DIRECWAY contracts with major leading North American and international companies including; Casey’s General Stores, Casual Male, Marsh Supermarkets, Micro Compact Car smart, KT Corporation (Korea Telecom), Wind Telecomunicazioni, nl.tree (education), among others.
Increased DIRECWAY international VAR program by signing AstraCom, AFSAT, Datasat, DELTA Telecom, EgyptSat, Ethnet, IP Net, K-Class, SND Electronics.
Signed major contracts for rural telephony in Dominican Republic and Paraguay.
Was awarded the Best of Innovations Award at the 2002 Consumer Electronics Show, Frost & Sullivan's Market Engineering Technology Award for the past two consecutive years, and the PBI Media Telcom Marketing Award for the U.S. launch of the DIRECWAY® two-way broadband-via-satellite service.
Surpassed the 10 million mark for shipment of DIRECTV receiver systems.
To date nearly 160,000 DIRECWAY residential subscribers in the U.S.

Products and Services

DIRECWAY: Enterprise Services
Since 1985, HNS has used very small aperture terminal (VSAT) systems to meet the networking needs of major corporations, telecommunications service providers, and governments around the globe. These networks provide rapid, reliable transmission of data, voice, and video to virtually an unlimited number of sites. They are cost-efficient and scalable across campus-wide, metropolitan or continent-wide requirements. Based on the latest market research data by Comsys, June 2001, HNS holds more than 50% cumulative market share in the global VSAT business.
With DIRECWAY broadband by satellite, HNS is expanding the capabilities of private business networks by providing new services and IP-based applications including Internet/Intranet, multicasting, video and music broadcasting, web caching and messaging. Through membership in its Broadband Alliance, best- of- breed product and value-added application developers can join HNS to enable new generations of profit-enhancing services, using DIRECWAY today and the next generation SPACEWAY® satellite platform, scheduled to launch in 2003.
HNS' global enterprise services are sold into a variety of market segments such as quick-service and family restaurants, convenience stores/retail petroleum, retailers, automotive, banking and financial institutions, energy, and government.

DIRECWAY: Consumer and SOHO Services
HNS provides DIRECWAY broadband satellite services in the U.S., Puerto Rico, Central America and Europe to the SOHO (small office home office) and consumer markets either directly or through value-added resellers (VARs).
DIRECWAY sets the standard for broadband by satellite and is ideal in urban, rural, and even the most remote locations. It offers ultimate freedom from the limitations of cable and wire connectivity.

DIRECTV Receivers
HNS is a leading manufacturer of DIRECTV set-top box systems, having shipped more than 10 million through December 2002.

TES Quantum
TES Quantum products offer enhanced digital access and advanced signaling support to dramatically improve telephone services to rural communities, developing countries and private voice networks. TES Quantum is a satellite-based platform for intelligent voice and data services that enables rapid deployment of an advanced telephony infrastructure using VSATs anywhere in the world.

SPACEWAY is HNS' next-generation, satellite broadband communications platform. Operating in the Ka-band, it will support a variety of advanced DIRECWAY applications for both business and consumer users.
The SPACEWAY system will employ innovative on-board digital processors, packet switching and spot beam technology to offer peer-to-peer (or full mesh) communications and bandwidth-on-demand. This technology also will offer direct connectivity without routing through a hub, as well as broadcast capability throughout the services area.
The first North American satellite will be launched in 2003 with service commencing in 2004.

AIReach Broadband
AIReach Broadband is a state-of-the-art, next-generation point-to-multipoint network solution for broadband wireless access and backhauling cellular traffic. It gives carriers a powerful platform for offering “last-mile” solutions that encompass voice, video, data, multimedia, and Internet services. The wireless alternative to costly fiber deployment, and leased circuits, AIReach Broadband is designed to help carriers implement and launch revenue-generating services in the most cost-effective and rapid way possible. The system operates in frequency bands between 3 GHz and 42 GHz and has been deployed worldwide.

Mobile Satellite
Based in San Diego, this division designs and develops mobile satellite systems and user terminals. Today, HNS supplies systems and terminals to three of the world’s dominant operators in the mobile satellite business, namely THURAYA, Inmarsat, and ICO. Its latest mobile phones are lightweight, weighing less than 220 grams, and are designed to operate in both Global System for Mobile (GSM) cellular as well as satellite modes, for both voice and data services. Its portable data terminals for intercontinental, multinational wireless Internet and Intranet access in rural or remote areas are the size of a notebook PC. These terminals provide “Internet everywhere” access, for e-mail, file transfer and remote applications such as telemedicine, exploration, mining, newsgathering, fleet operations, emergency management and travel.